Salvadoran Plantation Owners Divided over Extension to Ficafé Quotas

The extension granted by the bank to 2023, 2024 and 2025 for the payment of the Ficafé quotas has divided the coffee sector.

El Salvador's program for the rescue and reactivation of its coffee plantations, launched last May, seeks to defer repayment of the capital of the Ficafé quotas issued in 2010, 2011 and 2012 until 2023, 2024 and 2025 respectively. Ficafé is a refinancing trust for growers.

"The president of the country's association of coffee growing cooperatives (Ucafes), Ernesto Lima Mena, says that members of his group do not expect to benefit because it lengthens the term and they will end up paying more interest in the additional three years," reports Elsalvador.com.

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A number of coffee associations have reacted to the sector’s losses by requesting the activation of a $71 million Coffee Trust.

The National Coffee Association (Anacafé) agrees with the Federation of Coffee Cooperatives (Fedecocagua) that this is the optimal time for the government to activate this trust, after the eruption of Pacaya Volcano and Agatha tropical storm damaged plantations.